Although Procter & Gamble Produces Multiple Brands of Laundry Detergent

question 76

Multiple Choice

Although Procter & Gamble produces multiple brands of laundry detergent, each brand is marketed separately. For example, Tide advertisements tend to focus on how well the brand cleans clothes, whereas Gain advertisements focus on the scent of the brand. This is an example of which benefit of product lines?

• A) clarity for consumers
• B) simplifying branding
• C) more effective management
• D) difficult competitors

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Definitions:

Volume Variance

The difference between the planned volume of production or sales and the actual volume, which can affect costs and revenue.

Overhead

Indirect costs associated with running a business that can't be directly attributed to a specific product or service, such as utilities and rent.

Standard Costs

Predetermined costs for materials, labor, and overhead used as benchmarks in budgeting and performance evaluation.

Anticipated Costs

Estimated costs expected to be incurred in the future for a project, activity, or operation.